safety
Verify the chain
The rule
The safest read follows the chain: broker, exchange, clearing, depository, bank, tax record, and complaint route.
Where it flips
A chain check cannot remove market risk. Where it misleads: you feel fully safe. The fix: remember it only checks safekeeping and process, not whether the price will rise or fall.
The app is just the surface. The real legal and money trail sits in documents and institutions behind it. A reader lowers risk by checking where each claim is actually recorded, step by step along the chain.
A worked example
A holding you see in an app should also match your depository statement and your contract notes where those apply. If they line up, the chain holds. [illustrative]
How to spot it
- ·the contract note
- ·the depository statement
- ·the bank ledger
- ·a registered middleman
- ·a clear complaint channel
Charlie Munger · talks on incentives and checklists